appraisal of machinery and equipment
Appraisal of Machinery and Equipment
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What are machinery and equipment appraisals?
The valuation of equipment allows you to understand the state of all his team, know your value pre-market and make sure that the method of assessment required for the team be suitable for he following fair value of market and appraisal purposes.
Our team of experts creates the bases, concepts, techniques and methods for calculate the value of all kinds of machinery and equipment.
What are machinery and equipment appraisals for?
To make decisions in different situations, it is necessary to evaluate machinery and equipment, such as:
- Purchase and sale: since the seller will be able to know the precise value of the machinery that he wants to sell or buy based on the state in which it is found.
- Credit and insurance: To be able to insure machinery and equipment
- Rent: Based on how the machinery and equipment is located and the original cost, a rental price can be established.
- Tax guarantee: To leave the asset as a guarantee for the payment of tax obligations.
- Re-expression of financial statements: To know modifications that the financial statements had due to inflation or price adjustments.
- Audits: To know the exact value and be prepared for audits of any type
- Mergers: Know what value each company's team has.
- Asset transfers: It is useful when the asset moves location
- IFRS and IFRS opinions: This allows a better understanding of the number of transactions carried out on the machine and takes them into account when forming an opinion.
- Identification and prioritization of value drivers: To know the value of machinery in specialized equipment.
- Testamentary successions: To determine the value of assets within the will.
- Valuation of companies on the stock market: For companies that are listed on the stock market, all assets must be considered, including machinery and equipment.
- Strategic business continuity decisions: You can know the machinery and equipment that is necessary in the organization.
What sectors are machinery and equipment appraisals aimed at?
- Construction
- Textile
- Mining
- Agriculture
- Technology
- Chemistry
- Aeronautics
- Extractive
- Pharmaceutical
What assets are applicable to machinery and equipment appraisals?
- Transportation equipment: This term encompasses any type of vehicle used to transport people or goods, such as cars, trucks, buses, motorcycles, airplanes, boats, among others.
- Computing equipment: Refers to the devices and components used in data processing and performing computing tasks. This may include desktop computers, laptops, servers, printers, scanners, monitors, keyboards, mice, among others.
- Audio and video equipment: Refers to devices used for the reproduction, recording or amplification of sound and video. This may include stereos, speakers, DVD players, Blu-ray players, televisions, projectors, video cameras, among others.
- Machinery and equipment: It encompasses a wide variety of devices and machines used in various fields, such as the manufacturing industry, construction, agriculture, among others. This may include heavy machinery, power tools, production equipment, agricultural equipment, among others.
- Office Furniture and Equipment: Refers to furniture and devices used in an office environment to facilitate work and storage. This may include desks, chairs, filing cabinets, shelves, printers, copiers, telephones, among others.
What aspects are taken into account to carry out and calculate the fair market value of machinery and equipment appraisals?
For an appraisal of machinery and equipment, it is important to take into account the following variables:
- Make model
- Characteristics
- Technology
- Use value
- Useful life
- Antiquity
- Depreciation
- Maintenance and/or Complements added to the asset
- Marketing Degree
Current conservation statusl
Valuation methods for machinery and equipment appraisals
There are 3 valuation approaches to make this appraisal and it depends on the objective
- Cost approach
- Market focus
- Income Focus
What is the machinery and equipment appraisal process like?
1.- Submission and approval of the proposed work plan
2.- Field work, where each of the assets to be valued is specified with the purpose of knowing the information necessary for the study to be carried out.
3.- Office work, where the values and depreciations of each asset are analyzed according to the information obtained in the field.
4.- Conclusion of value of the asset.
5.- Delivery of the appraisal certified by an appraiser with a certificate.
